Through a press release the GMB have claimed, that not only are some pub licensees being bullied by Pubcos but also small brewers are equally in the same situation, because Pubcos have so much power. The GMB are writing to the Office of Fair Trading following a complaint from a pub tied tenant in Liverpool over independent brewer Titanic refusing to supply beer to a local community beer festival for fear of retribution from Punch Taverns the freeholder of her pub the Roscoe Head
Carol Ross, GMB member and tied tenant in the Roscoe Head in Liverpool, was the main organizer of a local community real ale beer festival in a venue separate from the pub for Sunday 19th September. The idea was to present a much larger selection of real ales than she is allowed to sell in her pub under her tenancy agreement and to involve the local community in the event.
As she began ordering the different beers she was told by Titanic Brewery of Stoke on Trent that they could not deliver as she was tied to Punch Taverns and that all supplies had to be ordered through the Small Independent Brewers Association( SIBA).
It was explained to them that the beer festival was not at the pub but in another building in the same area under a separate licence and that it had nothing to do with Punch Taverns. Titanic Brewery informed Carol Ross that if they delivered to this event then they would be struck off the SIBA list.
Carol Ross said in her letter “I am a Punch tenant in Liverpool trying to make a living and working all the hours for less than the minimum wage and very little time off for the last four years. My pub is small and we have six part time staff and myself managing it. I work very hard in my pub and always looking for new things to do, to keep my pub open in these very difficult times.
Because of our good name in the cask ale market I decided to run a beer festival. I found a venue (a garage/car park in Roscoe Street) and obtained a Licence/Temporary Event Notice for the garage and arranged a road closure. I then began marketing my event with banners, adverts, flyers.
I began ordering the different beers, and to my amazement, I was told by two rather large brewers that they could not deliver to my pub as I was tied to Punch Taverns They informed me that if they delivered direct to me then they would be struck off the SIBA list. This brings me to the conclusion that, not only are licensees being bullied by Pubcos’, but also small brewers are equally in the same situation, because Pub Co’s have so much power.
I did inform the brewers that I could not afford to order through SIBA because their invoice then goes to Punch to add their charges onto the invoice before it comes out to myself. I informed them that my prices are cheaper than the pub and it was a one day only event whereby it was nothing to do with the pub. They then asked for my BDM’s number to which I gave them. Needless to say they did not send me the beer.
Whoever said tenants were self employed? Whoever said tenants were partners? Surely we would get equal profits. I think this should be highlighted.
I must point out that I am not adverse to SIBA, I think this was a great idea for the tied tenants to have more choice, but now the Pub Co.’s are destroying this with their buying power.”
Hayley Brennan GMB lead organizer for tied tenants said “ This refusal by Titanic to supply this event because of its fear of retribution puts us into clear cartel territory of Punch operating restrictive practices.
This case also reinforces the GMB stance that tied tenants are not self employed in the eyes of the pubcos but are directed workers. No self employed plumber would be told by a builders merchant which sites he could or could not work on. GMB will be writing to the OFT on this case”.